Herskope and Ors. v Perpetual Trustees (W.A.) Limited

Herskope and Ors. v Perpetual Trustees (W.A.) Limited concerned an appeal to the Court of Appeal of New South Wales regarding the interpretation of a deed of settlement. The appellants, Herskope and others, sought to argue that certain provisions within the deed operated as a release of their claims against Perpetual Trustees (W.A.) Limited.

The central legal issue before the Court of Appeal was whether the deed of settlement, which contained apparently inconsistent provisions, should be construed as a release of the appellants' rights or as a covenant not to sue. This required the court to determine the true intention of the parties as expressed within the deed itself.

The Court of Appeal, applying established principles of contractual interpretation, found that the deed should be construed as a covenant not to sue rather than a release. The judges reasoned that this interpretation gave effect to all the provisions of the deed and resolved the apparent inconsistency in a manner that best reflected the parties' likely intentions. The appeal was accordingly dismissed.